Thai Market Being Cautious after Worse-Than-Expected 3Q Earnings from Big-Cap Stocks

Mr. Apichat Poobunjirdkul, Senior Strategist of TISCO Securities, said the direction of the Thai stock market is expected to rebase as the result of the U.S. midterm election is not yet clearly shown for the market. The present count of votes in the Georgia senate election, in which candidates don’t get more than 50%, will be re-elected, for making a final decision. As for the lower house election, the Republicans only have a slight edge above Democrats, which is unexpected from the poll of absolute win for the red wave.

Moreover, the market also had negative sentiment from the fluctuation in cryptocurrency, including the oil price that decreased for two days straight after the crude oil stock in the United States showed an increase, which was the opposite direction from market expectations, and the number of COVID-19 cases in China also increased. 

In addition, the financial results of listed companies in the Thai stock market are worse than expected, especially the big companies making investors hesitate to enter the market for speculation. Tisco Securities gave a support level at 1,620 points and 1,610 points and a resistance level at 1,635 points.